Replication data corruption

Here is my problem : from time to time the data on a table used in replication is getting corrupted at the subscriber(transactional replication, push subscription) : character like Ã“ is copied as O.

Both publisher and subscriber database, tables have the same collation : SQL_Latin1_CP850_CI_AS, however subscription server has a different collation : SQL_Latin1_General_CP1_CI_AS. A fix we found : if we delete and re-insert the row at the publisher this time the data is transferred fine by the replication.

Hi Satya,
Collation at database and table level is the same. We can't force the same collation at the server level because the subscriber has multiple publishers with different collations.
Another observation is that the collation used are : SQL_Latin1_General_CP1_CI_AI(case insensitive and accent insensitive) so is there any chance that this collation setup is responsible for "data corruption" ?